Oh my, here we go again.
There are NO "types" of crypto-assets in this sense.
You either have native tokens that are necessary to a blockchain or Asset-backed tokens which benefit from a blockchain but require trust in case of physical assets.
Let's go through tlm4Ozb6T9j
There are NO "types" of crypto-assets in this sense.
You either have native tokens that are necessary to a blockchain or Asset-backed tokens which benefit from a blockchain but require trust in case of physical assets.
Let's go through tlm4Ozb6T9j
Cryptocurrencies:
Native tokens, necessary to pay transaction fees. Are useful only if your blockchain is a true open, decentralised blockchain without anyone having development or transaction influence over it.
Almost none exist of these.
Native tokens, necessary to pay transaction fees. Are useful only if your blockchain is a true open, decentralised blockchain without anyone having development or transaction influence over it.
Almost none exist of these.
Platform tokens:
In the context of this article, these are just the same as cryptocurrencies with a different "cool" label. There is no functional difference, so a useless addition.
In the context of this article, these are just the same as cryptocurrencies with a different "cool" label. There is no functional difference, so a useless addition.
Utility tokens:
See: "Asset-backed tokens"
Sounds cool, but so far, we've only seen tokens that artificially try to lock in users into systems. This functionality can just as easily be gotten using cryptocurrencies.
See: "Asset-backed tokens"
Sounds cool, but so far, we've only seen tokens that artificially try to lock in users into systems. This functionality can just as easily be gotten using cryptocurrencies.
Security tokens:
See "Asset-backed tokens". They are just IOUs for securities, meaning you need to trust someone to deliver these.
If that's not a problem, they indeed add benefits like speed, ease of trade etc.
See "Asset-backed tokens". They are just IOUs for securities, meaning you need to trust someone to deliver these.
If that's not a problem, they indeed add benefits like speed, ease of trade etc.
Natural asset tokens:
See "Asset-backed tokens".
We don't need a new name for this, as it's simply just that.
See "Asset-backed tokens".
We don't need a new name for this, as it's simply just that.
Cryptocollectibles:
The only thing I think might have extra potential. These are unique tokens on blockchains, ie. only ONE exists of each.
Might be considered a third class.
For the rest: if your blockchain isn't a true blockchain, they don't really add anything.
The only thing I think might have extra potential. These are unique tokens on blockchains, ie. only ONE exists of each.
Might be considered a third class.
For the rest: if your blockchain isn't a true blockchain, they don't really add anything.
Crypto-fiat currencies:
The key sentence in the article is "implemented properly", and the use of the "Petro" as an example of these.
Stablecoins have historically all failed.
Please read this seprestonbyrne.com/2017/12/10/sta…ps://t.co/1OWvE4LXrX
The key sentence in the article is "implemented properly", and the use of the "Petro" as an example of these.
Stablecoins have historically all failed.
Please read this seprestonbyrne.com/2017/12/10/sta…ps://t.co/1OWvE4LXrX
Take-away: all these labels have nothing to do with what tokens really do.
I consider this explosion of labels to contribute to the misunderstanding of the industry.
If you look under the hood, you have some very simple distinctions which also highlight their risks.
I consider this explosion of labels to contribute to the misunderstanding of the industry.
If you look under the hood, you have some very simple distinctions which also highlight their risks.
This is just token-waffle designed to make people look smart and to be able to sound like you are selling something new.
It's not new, this is old.
Asset-backed tokens go back at least till 2012 with the concept of "colored coibitcointalk.org/index.php?topi…Qjfk60wMiQ
It's not new, this is old.
Asset-backed tokens go back at least till 2012 with the concept of "colored coibitcointalk.org/index.php?topi…Qjfk60wMiQ
I am most definitely not against tokens and their use, but I do dislike woo-woo language that obfuscates their weaknesses.
Hiding weaknesses and overindulging in positivism ("It will all be fine!") is bad.
Fess up to the problems so you can solve them.
Hiding weaknesses and overindulging in positivism ("It will all be fine!") is bad.
Fess up to the problems so you can solve them.
